When multiple rates are applicable to a rental item (such as daily or weekly charges), Best Pricing allows companies to charge the more economical rate between all the options.
For this example, our chosen rental is priced as follows:
Daily rental rate: $10.00 per day.
Monthly rental rate: $200.00 per month.
Let’s create an Order with a duration of 21 days (or 3 weeks):
Let’s see how orders are affected when Best Pricing is enabled and when it is not.
With Best Pricing Disabled
Normally, 21 days would be priced at the daily rate times 21.
21 days with a daily rental fee of $10 amounts to $210.
Even though the duration is less than a month, it will cost more than a monthly rental if billed at $10 per day, as the monthly rental is $200 in total.
Best Pricing can allow you to choose the cheaper alternative in this case.
With Best Pricing Enabled
With Best Pricing enabled, the bill calculated considers the monthly rental rate even though the duration is less than a month. It can make sense to charge a monthly fee for a shorter duration if it’s cheaper for the customers.
NOTE: Best Pricing does not apply to Advanced Rental Rates.